Malaysia – Huge Upcoming Opportunity

I have long been a huge fan of Malaysiait's one of my favorite countries it's agreat place to live I think I've saidmany times the best quality of life perdollar spent anywhere in the world isMalaysia it's got lots to appreciate uhand you know I've you know spent littletimes part of the Year living there atvarious period of time I'm consideredmaking it my home base I obviouslyhaven't done that but uh but it's agreat place this being said from aninvestment standpoint although propertyprices are ridiculously low I mean we'retalking about lower on aninflation-adjusted basis than they werein 1997 okay late 90s when they had thereal estate boom there in spite of thatI have also said that typically I'm andyou know you can get good deals likewhat you're getting tangibly for themoney seems really excellent althoughthis is the caseit does not strike me as beingimminently going to pop right so you'vehad big Pops in real estate in placeslike Bali and turkey in Mexico inThailand Etc all of that has been thecase Malaysia has not shown those signsand it's a really interesting questionbecause I look at Kuala Lumpur as sortof a competitive City to Bangkok andcertainly in some respects Superior toBangkok I've done a video on comparingBangkok to Kuala Lumpur and which one isbetter you can kind of go and have checkthat out and weigh in on your particulararguments but in spite of this Bangkokprices have gone up quite a bitMalaysian prices Kuala Lumpur priceshave notso why is that and what's going on wellthere is some recent news which I thinkis quite interesting and could suddenlychange the investment environment andmake it a more interesting place so I'vesaid for quite a while that I think if Idon't buy some great property in KualaLumpur I'll probably regret it 20 yearsfrom now so I'm going to talk to youabout how maybe that will be a littlebit closer than we think so let's divein before we do if you have any pleasehit the Subscribe button hit thenotification Bell thank you for joiningfor those of you who are new here I amMichael from offshore citizen we aresome of the foremost International taxexperts specializing in cross-borderattacks so we help you to legally paythe most amount of tax legal amount oftax possible and we do that throughusing international means whether it'syou relocating to other countries yourcompany relocating Etc essentiallybringing tools that are not available toCommon accountants and lawyers anyspecific country and frankly they don'tunderstand how things work across borderwhereas we're very distinction agnosticwe don't push any particularjurisdiction we looked at the solutionthat is best for you and figure out okayhow do you optimize your Global Tax arethere opportunities for Plan B ways toincrease your freedom ways to increaseyour security both your financial andyour personal physical experienceEtc and we design customized Solutionstailored to you know one size fits allnone of this nonsense to give you thebest life and the best kind of businesssuccess chances that are available so ifyou're interested in any of that pleasereach out to us you can book a call withme calendar.com forward slash Michaelrosmer there's a link in the descriptionbelow where you can send a messagethrough offshorescitizen.net all rightso what has happened well China justannounced that they're going to investuh 170 billion Malaysian Ringgitapproximately38 billion US Dollars uh they're goingto do some things to extend the belt andRoad initiative into China or sorry intoMalaysia there is some things going ondiscussing with Malaysia building aAsian fund between China and Malaysiaand some other parties uh to kind ofwean off dependency on the U.S and sothis could potentially be pretty good solet's just kind of look at the situationin Malaysia as it states like I said thedollar roughly per dollar spent thequality of life is extraordinary I meanyou have great weather the cost ofliving is low uh if you're in the rightareas it's nice and clean it's quiteorganized people are English speakingfor the most partyou have all the amenities it's reallyconvenient it's really great it's a lotmore like I would say that if you're insome place like KLCC it's more likebeing in Singapore than it is like beingin Bangkok now some people will say thisexpression hey do business in Singaporelive in Kuala Lumpur party in Bangkokand so there are certainly trade-offsbut there's been a lot of developmentthat's gone on there there's a lot ofnew projects coming up it's a reallypretty interesting place and I I thinkit's just like a wonderful place to bethe Malay people are great it's superconvenient especially if you want to betied into Asia one of the things thatI've often said is you know given thatthis is kind of the Asian Century it'sgood to have exposure to places likeChina and India from a businessstandpoint but you actually want to goand live in China or India probably notand so because you have this mix ofcultures in Malaysia basically the Malaythe Indian and the Chinese you can getexposure and you can kind of passportinto those markets without actuallyhaving to be there and that's reallycool okay so I think lots of reasons tolike Malaysiain spite of this as I said propertyprices have remained pretty stagnant ifyou go to uh say the park in KLCC andyou look up at the Four Seasons whichwas built a number of years ago you'regoing to see it's mostly empty a lot ofthese places are mostly empty and sowhat's essentially happened is there'sjust been overbuilding in there there'sa lot of nice buildings there's a lot ofyou know great pentose units you can getyou know your own lift Lobby it'sfantastic the cost for what you'regetting are great Etc but uh but they'rehard to be empty and so essentiallythey've suffered from overbuilding so ifwe think about real estate markets realstar markets are largely Supply drivenokay if you get excess Supply prices aregoing to remain stagnant if you have aninability to get supply and there's alot of immigration prices are going togo uppretty simple in that regardso what is going on here wellthey have a few things that they need toaddress so certainly you could say allright well you know what are they doingto control spot they've already kind oflike limited Supply somewhat compared towhat it was during the Heyday ofbuilding and so that's probably apositive factor for prices now you'regoing to see all this investment comingin we have seen signs that the Malaysiangovernment is now a little bit more opento trade the Malaysian government hasbeen a little bit kind of uh I don'tknow MPD sort of thing they've they'vegone back and forth on some of theirpolicies it's attractive is it notattractive hey let's close down mm2hokay we're going to bring it back butit's much worse we want people we don'twant people Etc so what they definitelyneed to do in order to see upward pricemovements is they need to make it easierfor people to come in we've had clientswho help them to relocate theresometimes under mm2h but sometimes undersomething like a level on directors Visaet cetera or just have some people areworking with right now to help themrelocate there and so okay well that'sthat's something uh but but it's fairlyinaccessible for a lot of people and soyou have to be able to have this influxof people because that's what's going tocreate the demand for Real Estate whichis going to push prices up you may get alittle bit if they open it up more toChinese investors and to be fair part ofthe issue in Malaysia was they decidedthey didn't want the Chinese they werekind of doing some anti-chinese policiesin this regard so a lot of the moneythat has flowed into places likeVancouver San Francisco uh you knowAustralia et cetera from China has notflown as much as it could have even ifwe look at the money that's flown intoCambodia right there's been a lot ofChinese money going into Cambodia and ithasn't flown to the same extent intoMalaysia well if they open up in thatregard you could see a pretty massiveinflux of capital and that Capital couldcome and end up seizing up a lot ofassets there now to be fair obviouslythere's been some financial problemsgoing on for people in China there hasbeen a bit of disappointment that a lotof people thought we would see a spikein demand as the Chinese economyreopened we haven't really seen thatthere are concerns from a demographicstandpoint that China essentially is atPeak consumption I don't know if you canI you can make some arguments one way oranother on that but there are somereasons to believe that they're notgoing to be a massive increased consumerin some of these Global markets just dueto the age of the people and the earningpower and things like that and so onthis basis you may not get the sameeffects that you did in uh in country inplaces like Vancouver however whatyou're also seeing simultaneously is alot of these other places are closingoff to foreign buyers so for instance inCanada broadly but British Columbia andVancouver specifically there's a lot ofrules now to prevent foreign buyers fromentering that marketyou're seeing some more things in UKyou're seeing some more things in abunch of different countries thattraditionally attracted a lot of thiscapital and when those places close offthe capital has to go somewhere rightthey want to get it out of China it's anextractive regime that you could simplynot have your money tomorrow and sopeople want to move that money this isone of the reasons why Dubai has done sowell there's a lot of money that's votedin Dubai because of the fact that peoplesay well my money's not safe in my homecountry where do I put it okay let's putit into Dubai let's buy some real estatethere similar sort of deal when we'relooking at things in the MalaysianMarket could happen again haven'thappened yet there's lots of Supply thathas to be absorbed first and we don'thave a really great immigration policythat's going to allow an influx ofpeople very easily the way that youwould want to see for this but thatbeing said I do think we are at an earlystage and so if you were looking forsome sort of opportunities where you'resaying well where can I go get anamazing quality of lifefor low costs by the way you can getreally good tax treatment there and youknow I'm thinking to myself well I'dalso like to invest and have some assetslong term that will they go up how fastwill they go up it's hard to say I meanyou're definitely not going to get thegreatest rental yields in a Malaysia atthis point in time but that being saidyou know over a 20-year time Horizon theasset could be pretty solid and give youa very different diversification profilefrom some other areas now the thing thatI will caution on that is didn't treatforeigners very well during covid sothat's not great at the same time you'rein a situation where it's difficult toget PR in Malaysia they don't allow dualcitizenship it's virtually impossible ornot impossible but it's very difficultto get citizenship there even if youwanted to it's a long path it's hard EtcI know people who are who are Malaysianwho are married to foreigners orforeigners have lived there for yearsand years and years they can't getMalaysian citizenship so there are somethings that obviously compare it to someother regions make it a little bit lessattractive but this being said if you'vegot the extra cash to park I mean it's abeautiful place that you could go have asecond homelike I said low cost it's an asset thatover time it seems it seems likely thatthey will open up and the capital willflow in that essentially theinefficiencies will close down youshould have some sort of a closing ofthe gap between places like there andBangkok and that this would be a reallygreat uh really great environment so letme know what you guys think put it inthe comments below and I will lookforward to seeing you on the next video